Kicking The Tires

外汇网2021-06-19 15:58:24 107

Slang for doing the grassroots research of a prospective investment.

Inpidual investors and fund managers alike partake in tire kicking. Asking your full service broker or financial adviser about a company, calling and visiting a company, and doing general investigative research prior to investing in a stock are all examples of kicking the tires.

The term originates from people's tendency to give a scrutinizing kick to the front tire of an automobile they are looking to buy while the salesman makes his or her pitch. Despite the metaphorical use of the term in stock picking, "kicking the tires" of a prospective investment is always an advisable thing to do, as the more you know about an investment, the better.

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